Talent Titans #37 – Analyzing KPIs for Recruiters

Suky talks about how important it is to pick a few KPIs to be measured on for recruiters, some examples to choose from, and how to pick the ones that work best for you.

Transcription

Hi I’m Suky from Professional Selection. Today I’d like to talk about key performance indicators otherwise known as KPIs.
Every business has them, but for the purpose of this video I’m going to talk to how they apply to the recruitment
industry. In fact I’ll take it one stage further and I’ll use a recruiter on the candidate side as my example. KPIs are
really important. Everybody needs to know what they’re thriving towards and whether they’re on track.

Now there are actually seven or eight KPIs that I hear of within this industry but I certainly don’t think you should be
using all of them. So pick three or four that are applicable to your business and the individual. One you absolutely must
have is what is the end goal. Some people look at it as a dollar figure, some people look at it as a number of placements.
That absolutely has to be one of those KPIs, but work backwards because at the end of the day this is an activity driven
business. You have to pick up the phone, so some people might choose to have dials out as one of the KPIs. That may work
for somebody that’s new to the industry, new to the company just to help them understand the life cycle, but if you’ve
got a seasoned recruiter they don’t need to be told about dials out. They need to know activity when it comes to the
candidate piece. So maybe how many candidates they’re interviewing on a daily basis, bringing them into the process. Could
well be you know number of CVs out. It’s just that life cycle, so I would suggest you speak to the recruiter and you decide
what these KPIs are together.

Now once you’ve got these KPIs and you’ve got about three months worth of data, or actually could even be after a month
again depending on the person’s experience. What does it all mean? What do you do with it? Well review it. At the end of the
day if you’ve got an individual who is spending all their time making outbound calls, so they’re hitting that target but
not bringing anybody into the process, eh. I’d question whether you’ve got the right KPIs there. That shows you there’s a
training need there. But on the other hand if you’ve got somebody that is every month exceeding their targets, but only
bringing in three or four candidates a week for example? I would look at it and say that that individual has potential to be
even a higher biller. So I would again adapt those KPIs.

As always I’m sure there’s many different ways of looking at KPIs and different opinions, but ultimately in our business
they’re a must. We all need to know what is expected from us, not only from a business perspective or us earning commissions
but just from a management perspective. How can you train someone if you don’t have the data, facts and figures to understand
where you’re at and where you’re going.

As always, love to hear your opinion so feel free to leave a comment below. Thanks for listening.